Indirect cost rates are frequent points of discussion and tension between
faculty investigators and   institutional administrations.    Suffice to
say, there are differences in these rates between institutions reflecting
real differences in their inherited rate structures.   The largest
differences (typically ~ 20 points) are between the "private institutions"
which are considerably higher than "state funded/public institutions."
 While the cost categories between institutions are similar, their
revenue streams are different.

 Yale University is currently at 65%, although our rate will soon change as
we are approaching  a  newly  negotiated rate.     Thus a faculty member
wishing to contain the "total costs" of a project within a certain parameter
will feel discriminated against those other faculty members who belong to a
state institution with a much lower indirect cost rate.     Try to assure
the faculty member that the NSF is most interested in the quality of the
proposed research  - and not to dispute the federally negotiated indirect
cost rate.  Good Luck !!  (you'll need it!!)

Gary P. Naegel
Administrator, Pharmacology
Yale School of Medicine
333 Cedar Street  P.O. 208066
New Haven, CT  06520-8066
(203) 785-4373
(203) 785-7670  FAX
xxxxxx@yale.edu
 ----------
From: Research Administration Discussion Group
To: Multiple recipients of list RESADM-L
Subject: Federal Indirect Cost Rates
Date: Monday, May 05, 1997 7:57AM

Hi!  I am new to this list and would like some assistance with the
following question.

I am working with some faculty members on funding issues, and the
question of our federal indirect cost agreement has come up in
discussions.  One of the faculty is upset that our NSF-negotiated rate is
63%, and she claims that it is abnormally high and will hurt our chances
of receiving NSF Funding.  In my experience, our rate is both higher than
some, and lower than others, but I don't really know what is truly
"average."  Could some of you share your current Federal Indirect Cost
Rates with the list?  I know some larger universities (such as UCLA where
I have worked in the past) have several rates for different kinds of
activities, so some of you may need to report several rates.

By way of background information, our botanic garden offers a graduate
program in botany (offering M.A.s and Ph.D.s) in conjunction with the
Claremont Graduate School, with all the faculty actually hired as staff
here at the Garden.  So, even though my title doesn't seem to relate to
higher education fundraising, I actually do quite a bit of it each year.

Thanks for you help!

 --
Richard M. Chute
Director of Development
Rancho Santa Ana Botanic Garden
1500 N. College Avenue                          Phone:  (909) 625-8767
Claremont, CA  91711                            FAX:    (909) 626-7670
xxxxxx@cgs.edu                          http://cgsweb.cgs.edu/inst/rsa/